Eastern District of Pennsylvania
Press releases recorded for this federal judicial district.
Pennsylvania Realtor Charged with Defrauding ClientsRead the Press Release
Joseph N. Reilly, 69 of Philadelphia, Pennsylvania, was charged today by information with mail fraud, announced United States Attorney Zane David Memeger. According to the information, Reilly, who owned Joseph N. Reilly Real Estate, Inc., diverted more than $1 million in client funds to himself, between January 2009 and April 2011, defrauding approximately 50 clients.
Reilly, through his company, acted as a property manager for his clients, collecting rent and utilities payments for owners. He also paid utility and real estate tax bills. Reilly mailed monthly statements to tenants and property owners. According to the information, Reilly sent at least one statement to a property owner indicating that the balance in the owner’s account was $490,565.58 when, in fact, the balance was $86.80.
If convicted the defendant faces a maximum possible sentence of 20 years in prison, a fine of up to $250,000, three years of supervised release, and a $100 special assessment.
The case was investigated by the U.S. Postal Inspection Service and is being prosecuted by Assistant United States Attorney Judy G. Smith.
Click here to view the indictment
An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Former EBAY Exec Pleads Guilty to Insider TradingRead the Press Release
PHILADELPHIA - Christopher Saridakis, 45, of Wilmington DE, pleaded guilty today to securities fraud for giving another person confidential information about a company’s stock. Saridakis was a senior executive at GSI Commerce, Inc. (“GSIC”), when he provided material, non-public information regarding eBay’s pending acquisition of GSIC. U.S. District Court Judge Stewart Dalzell scheduled a sentencing hearing for September 19, 2014.
On March 20, 2011, Saridakis, who was privy to discussions of a merger, sent a series of text messages to a Confidential Witness (“CW1”) that began with the defendant asking if CW1 “...own[ed] our [GSIC] shares?” CW1 replied, “no, but it’s cheap.” This response led Saridakis to tell CW1 “you should.” CW1 responded with “ok,” to which Saridakis replied, “soon.” On March 22, 2011, following the receipt of the text messages, while in possession of the inside information, and knowing defendant Saridakis’ position as a senior executive at GSIC, CW1 purchased and caused to be purchased 25,000 shares of GSIC stock on margin for approximately $470,000. On June 20, 2011, CW1 received $737,500 in exchange for the 25,000 shares of GSIC, equating to an illicit profit of $260,304, as a result of the text messages. Saridakis also shared the same material non-public information with other individuals.
Saridakis faces a maximum possible sentence of 20 years in prison, three years of supervised release, a $5 million fine, and a $100 special assessment.
The case was investigated by the FBI. The case is being prosecuted by Assistant United States Attorney Joel D. Goldstein. Saridakis and others have been charged in a parallel civil matter by the Securities and Exchange Commission.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Former EBAY Exec Pleads Guilty to Insider TradingRead the Press Release
PHILADELPHIA - Christopher Saridakis, 45, of Wilmington DE, pleaded guilty today to securities fraud for giving another person confidential information about a company’s stock. Saridakis was a senior executive at GSI Commerce, Inc. (“GSIC”), when he provided material, non-public information regarding eBay’s pending acquisition of GSIC. U.S. District Court Judge Stewart Dalzell scheduled a sentencing hearing for September 19, 2014.
On March 20, 2011, Saridakis, who was privy to discussions of a merger, sent a series of text messages to a Confidential Witness (“CW1”) that began with the defendant asking if CW1 “...own[ed] our [GSIC] shares?” CW1 replied, “no, but it’s cheap.” This response led Saridakis to tell CW1 “you should.” CW1 responded with “ok,” to which Saridakis replied, “soon.” On March 22, 2011, following the receipt of the text messages, while in possession of the inside information, and knowing defendant Saridakis’ position as a senior executive at GSIC, CW1 purchased and caused to be purchased 25,000 shares of GSIC stock on margin for approximately $470,000. On June 20, 2011, CW1 received $737,500 in exchange for the 25,000 shares of GSIC, equating to an illicit profit of $260,304, as a result of the text messages. Saridakis also shared the same material non-public information with other individuals.
Saridakis faces a maximum possible sentence of 20 years in prison, three years of supervised release, a $5 million fine, and a $100 special assessment.
The case was investigated by the FBI. The case is being prosecuted by Assistant United States Attorney Joel D. Goldstein. Saridakis and others have been charged in a parallel civil matter by the Securities and Exchange Commission.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525City Dispatcher and Three Tow Truck Operators Charged in Bribery ConspiracyRead the Press Release
PHILADELPHIA – An indictment was unsealed yesterday charging four people, including a Philadelphia Police Department (“PPD”) dispatcher, in a conspiracy to give an unfair advantage to certain tow truck operators in exchange for bribes, announced United States Attorney Zane David Memeger. Dorian Parsley, 44, of Philadelphia, Stepfon Flowers, 24, of Philadelphia, William Cheeseman, 42, of Delran, NJ, and Chad Harris, 22, of Philadelphia, are charged with conspiracy and bribery. Parsley, who was the dispatcher, and Flowers, are also charged with honest services fraud.
According to the indictment, between February 2011 and December 2013, Parsley used her position as a civilian radio dispatcher to provide confidential police information, such as locations of automobile accidents, locations of PPD squad cars, and vehicle registration information, to tow truck operators who provided her with cash bribe payments. Stepfon Flowers, who worked for K&B Autocraft in Philadelphia, allegedly paid Parsley $100 to $150, weekly, for the confidential information.
In September 2012, the indictment alleges, Flowers connected William Cheeseman, an owner of K&B Auto Body, with Parsley so that Cheeseman could also receive the confidential police information in exchange for cash bribe payments. In April 2013, Chad Harris, a tow truck driver for K&B Auto Body, also received Parsley’s contact information allegedly for the same purpose. According to the indictment, Parsley would surreptitiously text information that came into PPD dispatch from her personal cellphone directly to those tow truck operators. For an additional cash fee, Parsley allegedly agreed to provide certain tow truck operators with the name and address of a vehicle owner by running the license plate and vehicle registration through the PPD dispatch computer. PPD computers automatically access the National Crime Information Center (“NCIC”) located in West Virginia when a vehicle registration was inputted.
Flowers allegedly collected some of the weekly bribe payments for Parsley.
The case was investigated by the Federal Bureau of Investigation and the Philadelphia Police Department. It is being prosecuted by Assistant United States Attorney Jennifer Chun Barry.
Click here to view the indictment
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Indictment Charges Three People in Nine Day, Four County Armed Robbery SpreeRead the Press Release
PHILADELPHIA – An indictment filed today charges Dale Mentzer, 36, of Waymart, PA, and Heath DeRizzo, 37, of Manheim, PA, in a half-dozen armed robberies, in Berks, Chester, Lebanon, and Northampton Counties, between July 11, 2013 and July 19, 2013, announced United States Attorney Zane David Memeger. The pair was charged with two counts of interference with interstate commerce by robbery, four counts of bank robbery, two counts of use and carrying of a firearm during a crime of violence, and two counts of convicted felon in possession of a firearm. A third defendant, Samantha Henderson, 23, of Fredericksburg, PA, was charged with accessory to robbery after the fact.
According to the indictment, Mentzer and DeRizzo committed armed robberies at a Sovereign Bank branch in Kutztown, on July 11, 2013; a Northwest Savings Bank branch in Myerstown, on July 16, 2013; a First Cornerstone Bank branch in Phoenixville and The Rodeway Inn motel in Muhlenberg, on July 18, 2013; a National Penn Bank branch, on July 19, 2013; and, that same day, Cihylik Farms in Allen Township. Henderson is charged with assisting Mentzer and DeRizzo hinder and prevent their apprehension, trial, and punishment.
If convicted, defendants Mentzer and DeRizzo each face a minimum mandatory term of 32 years in prison up to life, a fine of up to $2.5 million, five years of supervised release and a $1,000 special assessment. Henderson faces a maximum possible sentence of 10 years in prison, three years of supervised release, a fine of up to $250,000, and a $100 special assessment.
The case was investigated by the Federal Bureau of Investigation-Allentown Resident Agency, Pennsylvania State Police, East Pikeland Township Police Department, Northampton Police Department, Kutztown Police Department, Muhlenberg Township Police Department, Worcester County Bureau of Investigation, and FBI Baltimore-Salisbury Resident Agency. It is being prosecuted by Assistant United States Attorney John Gallagher.
Click here to view the indictment
An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Connecticut Man Pleads Guilty in Multi-Million Dollar Diploma FraudRead the Press Release
PHILADELPHIA – James Enowitch, 48, of Cromwell, CT, pleaded guilty today to mail fraud and aiding and abetting mail fraud, in connection with the operation of a number of fraudulent diploma mills, announced United States Attorney Zane David Memeger. Between 2003 and 2012, Enowitch sold $5 million worth of fake degrees throughout the world. He profited more than $700,000 from this fraudulent scheme.
As early as 2003, Enowitch began operating a diploma mill, through which he advertised and sold diplomas for a fee, requiring no course work for those “diplomas.” Enowitch and his alleged co-schemer ultimately operated at least seven different websites, through which they sold fraudulent degrees in the name of Redding University, Suffield University Glendale University, Greenwood University, and Bryson University. Those purported universities were actually diploma mills in that they had no faculty, offered no academic curricula or services, required no course or class work, and were not recognized by the United States Department of Education. Part of the scheme to which Enowitch pleaded guilty was a fraudulent accrediting body, called the “National Distance Learning Accreditation Council” (“NDLAC”), used to claim, falsely, that the diploma mills were “nationally accredited.”
Enowitch admitted that he and others created phony transcripts stating that the purchaser had taken courses that the purchaser had never taken; allowed purchasers to create their own transcripts and backdate degrees; and provided fraudulent verification services to back up the fake degrees, in case an employer or other party sought verification. The degree packages ranged in price from $475 to $550 for associates, bachelors, masters, and doctoral-level degrees, with a “multi-degree discount” for buying more than one. For an additional fee, purchasers could also allegedly select grades for the phony courses included in their transcripts.
The defendant faces a maximum possible sentence of 20 years in prison, three years of supervised release, a $250,000 fine, a $100 special assessment, and an order of forfeiture.
The case was investigated by the Federal Bureau of Investigation, the U.S. Department of Health and Human Services Office of the Inspector General, the Defense Criminal Investigative Service, and U.S. Immigrations and Customs Enforcement Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Matthew J.D. Hogan.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Tax Preparer Charged with Filing False Tax ReturnsRead the Press Release
Maria Falu, 37, of Philadelphia, PA, was charged today by Information with preparing and filing materially false tax returns, announced United States Attorney Zane David Memeger. The Information alleges that Falu owned Casa de Taxes and Genesis Tax Services, LLC, at 2934 North 5th Street, in Philadelphia, and prepared tax returns. The Information alleges that from 2011 to 2013, Falu prepared false tax returns for the tax years 2010, 2011, and 2012, for a number of individuals, by reporting false income, false expenses, and false tax credits, resulting in tax losses of approximately $117,171.
If convicted, the defendant faces a maximum possible sentence of 18 years of imprisonment.
The case was investigated by Internal Revenue Service, Criminal Investigation, and is being prosecuted by Assistant United States Attorney Sarah L. Grieb.
Click here to view the indictment
An Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525New Jersey Man Sentenced for Brutal Attack in National ParkRead the Press Release
PHILADELPHIA - Santos Centeno, 47, of Camden, New Jersey, was sentenced today to 15 years in prison for random muggings near Philadelphia’s Independence Hall. On June 15, 2012, Centeno and his nephew, Baldwin Centeno, were standing on 4th Street at National Independence Park when the victim approached them. The victim’s car was missing and he was asking for help when Centeno and his nephew began beating him for no reason. The victim suffered traumatic brain injuries, facial fractures, and other serious injuries for which he required hospitalization. A jury convicted the pair of assault resulting in serious bodily injury and assault by striking, beating, or wounding. In another incident, Centeno mugged a couple, walking near the park, of their cell phone and money. He was also convicted in that assault. His nephew was sentenced in April to 57 months in prison.
In addition to the prison term, U.S. District Court Judge Juan R. Sanchez ordered three years of supervised release, $6,461 restitution, and a $220 special assessment.
The case was investigated by the Philadelphia Police Department and the National Park Service, United States Department of the Interior. It is being prosecuted by Assistant United States Attorney Denise S. Wolf.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Husband and Wife Admit Role in Million Dollar Scam Involving City Ink and Toner CartidgesRead the Press Release
PHILADELPHIA – Derek and Danita Willis, 49 and 35, respectively, of Russellville, Arkansas, pleaded guilty today to taking part in a scheme, between January 2006 and January 2012 that defrauded the City of Philadelphia out of more than $1 million. The couple pleaded guilty to five counts of mail fraud, obstruction of justice for the destruction of documents related to the fraud scheme, and perjury for knowingly making false statements to the grand jury on May 8, 2012. A sentencing hearing is scheduled for October 10, 2014.
The Willis’ owned Laser Cartridge Plus, Inc. (LCP), a business located in Russellville. They were contacted by Calvin Duncan who, at the time, worked for the Philadelphia Water Department (PWD) as a mailroom clerk. As part of his responsibilities, Duncan was responsible for mail deliveries and purchasing supplies, including printer ink and toner cartridges, for the administrative offices of PWD.
Duncan submitted requests for approval to purchase printer ink and toner cartridges, falsely claiming that the cartridges were for PWD employees. After receiving the printer ink and toner cartridges from the approved vendors at the City of Philadelphia’s expense, Duncan sold the printer ink and toner cartridges to Laser Cartridge Plus, Inc. at prices significantly lower than those usually charged by ink and toner cartridge vendors. The Willis’ knew that the cartridges had been stolen. Derek Willis dealt directly with Duncan prior to 2005 when he tasked Danita Willis with arranging to buy the illegally obtained printer ink and toner cartridges from Duncan. Duncan mailed the illegally obtained printer ink and toner cartridges to LCP using United Parcel Service (UPS).
The scheme caused the City of Philadelphia to pay approximately $1,368,091.19 on purchase orders and shipping costs for printer ink and toner cartridges never intended to be used by PWD employees. Additionally, Derek and Danita Willis paid Duncan approximately $545,412.79, which was not due to him, for the printer ink and toner cartridges purchased with the City of Philadelphia funds and shipped to LCP using PWD’s UPS shipping account. Duncan pleaded guilty on August 9, 2013 and will be sentenced on July 18, 2014.
Derek Willis faces a maximum possible sentence of 120 years in prison, a maximum fine of $2.25 million, a $900 special assessment, and supervised release; Danita Willis faces a maximum possible sentence of 110 years in prison, a maximum fine of $1.75 million, a $700 special assessment, and supervised release.
The case was investigated by the Federal Bureau of Investigation and the City of Philadelphia Office of the Inspector General. It is being prosecuted by Assistant United States Attorney Tomika N. Stevens.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Husband and Wife Admit Role in Million Dollar Scam Involving City Ink and Toner CartidgesRead the Press Release
PHILADELPHIA – Derek and Danita Willis, 49 and 35, respectively, of Russellville, Arkansas, pleaded guilty today to taking part in a scheme, between January 2006 and January 2012 that defrauded the City of Philadelphia out of more than $1 million. The couple pleaded guilty to five counts of mail fraud, obstruction of justice for the destruction of documents related to the fraud scheme, and perjury for knowingly making false statements to the grand jury on May 8, 2012. A sentencing hearing is scheduled for October 10, 2014.
The Willis’ owned Laser Cartridge Plus, Inc. (LCP), a business located in Russellville. They were contacted by Calvin Duncan who, at the time, worked for the Philadelphia Water Department (PWD) as a mailroom clerk. As part of his responsibilities, Duncan was responsible for mail deliveries and purchasing supplies, including printer ink and toner cartridges, for the administrative offices of PWD.
Duncan submitted requests for approval to purchase printer ink and toner cartridges, falsely claiming that the cartridges were for PWD employees. After receiving the printer ink and toner cartridges from the approved vendors at the City of Philadelphia’s expense, Duncan sold the printer ink and toner cartridges to Laser Cartridge Plus, Inc. at prices significantly lower than those usually charged by ink and toner cartridge vendors. The Willis’ knew that the cartridges had been stolen. Derek Willis dealt directly with Duncan prior to 2005 when he tasked Danita Willis with arranging to buy the illegally obtained printer ink and toner cartridges from Duncan. Duncan mailed the illegally obtained printer ink and toner cartridges to LCP using United Parcel Service (UPS).
The scheme caused the City of Philadelphia to pay approximately $1,368,091.19 on purchase orders and shipping costs for printer ink and toner cartridges never intended to be used by PWD employees. Additionally, Derek and Danita Willis paid Duncan approximately $545,412.79, which was not due to him, for the printer ink and toner cartridges purchased with the City of Philadelphia funds and shipped to LCP using PWD’s UPS shipping account. Duncan pleaded guilty on August 9, 2013 and will be sentenced on July 18, 2014.
Derek Willis faces a maximum possible sentence of 120 years in prison, a maximum fine of $2.25 million, a $900 special assessment, and supervised release; Danita Willis faces a maximum possible sentence of 110 years in prison, a maximum fine of $1.75 million, a $700 special assessment, and supervised release.
The case was investigated by the Federal Bureau of Investigation and the City of Philadelphia Office of the Inspector General. It is being prosecuted by Assistant United States Attorney Tomika N. Stevens.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Delaware Man Charged with Drug and Gun CrimesRead the Press Release
Keith Stroud, 34, of New Castle, Delaware, was charged today by indictment with possession of heroin with intent to distribute, possession of a firearm in furtherance of a drug trafficking crime, and felon in possession of firearm, announced United States Attorney Zane David Memeger.
If convicted the defendant faces a maximum possible sentence of lifetime imprisonment, a five year period of supervised release, a $1 million fine, and a $300 special assessment.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Delaware County Criminal Investigation Division, and the City of Chester Police Department. It is being prosecuted by Assistant United States Attorney Jeanine Linehan.
Click here to view the indictment
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Former EBay Exec Charged with Insider TradingRead the Press Release
PHILADELPHIA - Christopher Saridakis, 45, of Wilmington DE, was charged today by information with securities fraud, announced United States Attorney Zane David Memeger. According to the information, Saridakis, a senior executive at GSI Commerce, Inc. (“GSIC”), provided material, non-public information regarding eBay’s pending acquisition of GSIC.
It is further alleged that on March 20, 2011, Saridakis, who was privy to discussions of a merger, sent a series of text messages to CW1 that began with the defendant asking if CW1 “...own[ed] our [GSIC] shares?” CW1 replied, “no, but it’s cheap.” This response led Saridakis to tell CW1 “you should.” CW1 responded with “ok,” to which Saridakis replied, “soon.” According to the information. on March 22, 2011, following the receipt of the text messages, while in possession of the inside information, and knowing defendant Saridakis’ position as a senior executive at GSIC, CW1 purchased and caused to be purchased 25,000 shares of GSIC stock on margin for approximately $470,000. On June 20, 2011, CW1 received $737,500 in exchange for the 25,000 shares of GSIC, equating to an illicit profit of $260,304, as a result of the text messages. Saridakis allegedly also shared the same material non-public information with family members and his neighbor.
If convicted the defendant faces a maximum possible sentence of 20 years in prison, three years of supervised release, a $5 million fine, and a $100 special assessment.
U.S. Attorney Memeger credited special agents of the FBI, under the direction of Special Agent in Charge Edward J. Hanko in Philadelphia, for the investigation. He also thanked Scott Friestad, an associate director in the U.S. Securities and Exchange Commission’s (“SEC”) Washington DC office. Saridakis and others have been charged in a parallel civil matter by the SEC.
The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Joel D. Goldstein.
Click here to view the indictment
An Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Federal and Local Partners Announce Charges in Child Exploitation CaseRead the Press Release
NORRISTOWN – A fourth man was charged federally, yesterday, in a case involving sex with a minor who was exploited. Mark Wilczopolski, 22, of Birdsboro, PA, is one of four men charged federally and locally. Two additional men are charged by the Montgomery County District Attorney’s Office. In a joint press conference with Montgomery County District Attorney Risa Ferman, United States Attorney Zane David Memeger, today, announced the indictment against Wilczopolski, a/k/a “Wilco,” who is charged federally with using the Internet to entice a minor to engage in sexual conduct, receipt of child pornography and possession of child pornography. Wilczopolski will also be prosecuted, on local charges, by the Montgomery County District Attorney’s office. Wilczopolski is expected to make an initial appearance today in magistrate court.
Charged in related federal indictments are: Christopher Steele, a/k/a “Mike Dozor,” 33, of Newark, DE, who was indicted on March 6, 2014, for use of an internet to entice a minor to engage in sexual conduct, interstate travel with intent to engage in illicit sexual conduct with a minor, and receipt of child pornography; Matthew Krapf, 43, of Collegeville, PA, who was indicted on January 23, 2014, on 10 counts, each, of using or inducing a child to pose for child pornography, use of the Internet to entice a minor to engage in sexual contact, three counts of distribution of child pornography, and one count of possession of child pornography; and Jason Scott Becktold, a/k/a “Scotty,” 42, of Oklahoma City, Oklahoma, who was indicted on January 23, 2014, on four counts, each, of using or inducing a child to pose for child pornography, and use of the internet to entice a minor to engage in sexual conduct. The four men, and two others, were initially charged by the Montgomery County District Attorney. The cases listed here were adopted for federal prosecution.
According to the indictments, each of the defendants had contact, via the Internet, with Minor #1 and enticed Minor #1 to engage in sexual conduct and transmit it over the Internet. Krapf also traveled to meet Minor #1 for the purpose of having sexual intercourse, and is charged with doing the same with four other minor boys. In one instance, defendant Krapf traveled to meet Minor #1 and brought Minor #2 with him for the purpose of all three having sexual intercourse, which defendant Krapf videotaped and photographed, and then transmitted to others over the Internet.
According to Becktold’s indictment, Becktold induced Minor #1 to engage in sexual activity with himself and with other Minors, record video of the activity and transmit the video to him via the Internet. Becktold also induced Minor #1 to place a concealed recording device in a locker room to record other minor boys in various states of dress and undress.
Defendant Steele, according to his indictment, traveled from the state of Delaware to Pennsylvania for the purpose of engaging in sex with Minor #1 and enticed Minor #1 to engage in sexual activity over the Internet.
“The internet continues to provide child predators with access to children who cannot appreciate the tremendous physical and mental dangers they face at the hands of criminals who prey on children for sex,” said Memeger. “In order to combat this far too common threat, federal, state and local law enforcement partners must work together to bring those who victimize our children to justice.”
“The greatest responsibility of law enforcement is to protect our most vulnerable citizens,” said Ferman. “Keeping children safe is our number one priority. This case highlights the dangers our children face when communicating with strangers online. An unfortunate reality of our world is there are adults willing to manipulate and exploit vulnerable youth for their own base motives. Working together, the Limerick Township Police Department, the Montgomery County District Attorney’s Office, and the Department of Homeland Security and the United States Attorney's Office for the Eastern District of Pennsylvania have taken six alleged child predators off the street. I commend and thank our law enforcement partners for the strong collaboration and cooperation that allowed us to stop these acts of abuse against vulnerable kids.”
“HSI hereby puts child predators on notice: there is no refuge for child sexual predators who believe they can pursue their perverse behavior with impunity online; they cannot escape justice and there will be serious consequences for their actions,” said HSI Philadelphia Assistant Special Agent- in-Charge William Walker. “HSI will continue to diligently work with our partners at the U.S. Attorney’s Office for the Eastern District of Pennsylvania, the Montgomery District Attorney’s Office and other local, state, federal and international law enforcement agencies to combat the sexual exploitation of children.”All four defendants are in federal custody. Matthew Krapf is scheduled for trial on May 19, 2014. If convicted of all federal charges, he faces a mandatory minimum sentence of 15 years in prison with a maximum sentence of life.
Christopher Steele is scheduled for trial on June 2, 2014. If convicted of all federal charges, he faces a mandatory minimum sentence of 10 years in prison with a maximum sentence of life.
Jason Scott Becktold is scheduled for trial on September 15, 2014. If convicted of all federal charges, he faces a mandatory minimum sentence of 10 years in prison with a maximum sentence of life.
Mark Wilczopolski is scheduled for an initial appearance this afternoon in federal court. If convicted of all charges, he faces a mandatory minimum sentence of 10 years in prison with a maximum sentence of life.
The cases were investigated by the Limerick Township Police, Montgomery County Detectives, and Immigration and Customs Enforcement Homeland Security Investigations. The federal cases are being prosecuted by Assistant United States Attorney Michelle Rotella.Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Delaware County Man Pleads Guilty to Stealing Hospital Patients' Identities for Use in Tax Fraud SchemeRead the Press Release
PHILADELPHIA - Reynaldo Estrada, 50, of Brookhaven, PA, pleaded guilty today to charges arising out of his theft of personal identifying information of hospital patients. Estrada pleaded guilty today to one count each of conspiracy to commit identity theft, aggravated identity theft, and aiding and abetting the use of a false Social Security number.
Between October 2010 and October 2011, while he was working for Crozer Chester Medical Center’s Environmental Services Department and at Community Hospital in Chester, Pennsylvania, Estrada stole scores of treatment authorization forms containing the names, addresses, dates of birth, and Social Security numbers of patients. Estrada admitted today that he gave the forms to co-conspirators Rafael Henriquez Polanco and Yanira Lopez, who paid him for the stolen identities, knowing that the forms would be used as a part of a tax fraud scheme. Polanco and Lopez are charged in a separate indictment with using the identifying information provided by Estrada to prepare and file approximately 144 false and fraudulent federal individual income tax returns claiming bogus refunds in excess of $1.7 million. Both Polanco and Lopez have pleaded guilty to all charges against them.
U.S. District Court Judge Mitchell S. Goldberg scheduled Estrada’s sentencing for July 31, 2014. Estrada faces a mandatory minimum sentence of two years in prison.
The case was investigated by Internal Revenue Service Criminal Investigations, U.S. Immigration and Customs Enforcement Homeland Security Investigations, U.S. Department of State Diplomatic Security Service, and U.S. Department of Labor Office of Inspector General. It is being prosecuted by Assistant United States Attorney Kevin Brenner.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Bank Teller and Three Others Charged in Armed Robbery ConspiracyRead the Press Release
An Indictment was filed today charging Marquis Wilson, 23, Malcolm Moore, 23, Martril Foster, 21, and Calia Kane, 19, all of Philadelphia, PA, with conspiracy to commit armed bank robbery, armed bank robbery, carrying and using a firearm during and in relation to a crime of violence, and aiding and abetting, announced United States Attorney Zane David Memeger. According to the indictment, Calia Kane, who was a teller at the Wells Fargo bank branch in Bala Cynwyd, conspired with the three co-defendants, and sent them a signal, on November 4, 2013, of an opportune moment to commit the robbery. The armed robbers left the bank with $81,059. On November 12, 2013, Kane cased the Wells Fargo branch in Phoenixville and, again, signaled her co-conspirators about an opportune moment to rob the bank. The armed robbers left the bank with $70,470. All four defendants are in custody.
If convicted the defendants face a maximum possible sentence of lifetime imprisonment, with a mandatory minimum sentence of thirty-two years imprisonment consecutive to any other sentence imposed, and a $1,250,000 fine.
The case was investigated by the FBI, Lower Merion Township Police Department, and the East Pikeland Township Police Department, and is being prosecuted by Assistant United States Attorney Salvatore L. Astolfi.
Click here to view the indictment
An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Amedisys Home Health Companies Agree to Pay U.S. $150 Million to Resolve False Claims Act AllegationsRead the Press Release
PHILADELPHIA - Amedisys Inc. and its affiliates (Amedisys) have agreed to pay $150 million to the federal government to resolve allegations that they violated the False Claims Act by submitting false home healthcare billings to the Medicare program. Amedisys, a Louisiana-based for-profit company, is one of the nation’s largest providers of home health services and operates in 37 states, the District of Columbia, and Puerto Rico.
The settlement was announced today by United States Attorney Zane David Memeger and the Department of Justice. It resolves allegations that, between 2008 and 2010, certain Amedisys offices improperly billed Medicare for ineligible patients and services. Amedisys allegedly billed Medicare for nursing and therapy services that were medically unnecessary or provided to patients who were not homebound, and otherwise misrepresented patients’ conditions to increase its Medicare payments. These billing violations were the alleged result of management pressure on nurses and therapists to provide care based on the financial benefits to Amedisys, rather than the needs of patients.
“Combating Medicare fraud and overbilling is a priority for my office, other components of the Department of Justice, and United States Attorneys’ Offices across the country,” said Memeger. “We have recovered billions of dollars in Federal health care funds from schemes such as the one alleged in this case. Those are health care dollars that should be spent on legitimate medical needs. This settlement should send a message to all healthcare providers in the Eastern District of Pennsylvania, including home health providers, that we will continue to dedicate our full attention and resources to pursuing similar violations of the False Claims Act.”
Additionally, this settlement resolves certain allegations that Amedisys maintained improper financial relationships with referring physicians. The Anti-Kickback Statute and the Stark Statute restrict the financial relationships that home healthcare providers may have with doctors who refer patients to them. The United States alleged that Amedisys’ financial relationship with a private oncology practice in Georgia – whereby Amedisys employees provided patient care coordination services to the oncology practice at below-market prices – violated statutory requirements.
“It is critical that scarce Medicare home health dollars flow only to those who provide qualified services,” said Stuart F. Delery, Assistant Attorney General for the Civil Division. “This settlement demonstrates the Department’s commitment to ensuring that home health providers, like other providers, comply with the rules and don’t misuse taxpayer dollars.”
Amedisys also agreed to be bound by the terms of a Corporate Integrity Agreement with the Department of Health and Human Services – Office of Inspector General that requires the companies to implement compliance measures designed to avoid or promptly detect conduct similar to that which gave rise to this settlement.
“Improper financial relationships and false billing, as alleged in this case, can shortchange taxpayers and patients,” said Daniel R. Levinson, Inspector General for the U.S. Department of Health and Human Services. “Our compliance agreement with Amedisys contains strong monitoring and reporting provisions to help ensure that people in Federal health programs will be protected.”
This settlement resolves seven lawsuits pending against Amedisys in federal court – six in the Eastern District of Pennsylvania and one in the Northern District of Georgia – that were filed under the qui tam, or whistleblower, provisions of the False Claims Act, which allow private citizens to bring civil actions on behalf of the United States and share in any recovery. As part of today’s settlement, the whistleblowers – primarily former Amedisys employees – will collectively split over $26 million.
For the United States Attorney’s Office for the Eastern District of Pennsylvania, this investigation and settlement were handled by Assistant United States Attorneys Gregory B. David and Eric D. Gill. The United States’ investigation was conducted by the Justice Department’s Commercial Litigation Branch of the Civil Division; the United States Attorneys’ Offices for the Northern District of Alabama, Northern District of Georgia, Eastern District of Kentucky, District of South Carolina, and Western District of New York; the Department of Health and Human Services’ Office of Inspector General; the FBI; the Office of Personnel Management’s Office of Inspector General; the Defense Criminal Investigative Service of the Department of Defense; and the Railroad Retirement Board’s Office of Inspector General.
The claims settled by the agreement are allegations only, and there has been no determination of liability. The lawsuits are captioned United States ex rel. CAF Partners et al. v. Amedisys, Inc. et al. 10-cv-2323 (E.D. Pa.); United States ex rel. Brown v. Amedisys, Inc. et al., 13-cv-2803 (E.D. Pa.); United States ex rel. Umberhandt v. Amedisys, Inc., 13-cv-2789 (E.D. Pa.); United States ex rel. Doe et al. v. Amedisys, Inc., 13-cv-3187 (E.D. Pa.); United States ex rel. Ognen et al. v. Amedisys, Inc. et al. 13-cv-4232 (E.D. Pa.); United States ex rel. Lewis v. Amedisys, Inc., 13-cv-3359 (E.D. Pa.); and United States ex rel. Natalie Raven et al. v. Amedisys, Inc. et al., 11-cv-0994 (N.D. Ga.).
This settlement illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by Attorney General Eric Holder and Secretary of Health and Human Services Kathleen Sebelius. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than $19.2 billion through False Claims Act cases, with more than $13.6 billion of that amount recovered in cases involving fraud against federal health care programs.
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PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Convicted of Sex TraffickingRead the Press Release
PHILADELPHIA – A federal jury, today, returned guilty verdicts against Rahim McIntyre, 34, of Philadelphia, PA, who was charged with three counts of sex trafficking. McIntyre, a/k/a “King Kobra,” caused Internet advertisements to be created in which he advertised various females as available for purchase for purposes of prostitution. The advertisements featured pictures of the females, scantily clad, a description of each female, and a phone number to call to arrange a meeting with a female employed by McIntyre as a prostitute. McIntyre was convicted of using force and coercion to cause the women to engage in prostitution.
A sentencing hearing is scheduled for July 21, 2014. The defendant faces a maximum possible sentence of life imprisonment, with a minimum mandatory of 15 years, a $750,000 fine, five years up to a lifetime of supervised release and a $300 special assessment.
McIntyre’s brother, Rashaad McIntyre, was charged in December 2012 with sex trafficking of minors and production of child pornography. He pleaded guilty and is awaiting sentencing.
The case was investigated by the Federal Bureau of Investigation, with assistance from the Pennsylvania State Police Criminal Intelligence Center, and the Philadelphia First Judicial Court Warrant Unit. It is being prosecuted by Assistant United States Attorney Michelle Morgan.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
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PATTY HARTMAN, Media Contact, 215-861-8525New Jersey Man Sentenced for Brutal Attack in National ParkRead the Press Release
PHILADELPHIA - Baldwin Centeno, 26, of Camden, New Jersey, was sentenced today to 57 months in prison for randomly beating a man, near Philadelphia’s Independence Hall, who was merely asking for assistance. On June 15, 2012, Centeno and his uncle, Santos Centeno, 47, were standing on 4th Street at National Independence Park when the victim approached them. The victim’s car was missing and he was asking for help when Centeno and his nephew began beating him for no reason. The victim suffered traumatic brain injuries, facial fractures, and other serious injuries for which he required hospitalization. A jury convicted Centeno of assault resulting in serious bodily injury and assault by striking, beating, or wounding. Santos Centeno, who was convicted of an additional incident, will be sentenced May 5, 2014.
In addition to the prison term, U.S. District Court Judge Juan R. Sanchez ordered three years of supervised release, $6,000 restitution, an $8,000 fine, and a $200 special assessment.
The case was investigated by the Philadelphia Police Department and the National Park Service, United States Department of the Interior. It is being prosecuted by Assistant United States Attorney Denise S. Wolf.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
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PATTY HARTMAN, Media Contact, 215-861-8525Maryland Man Sentenced for Conspiracy to Provide Material Support to TerroristsRead the Press Release
PHILADELPHIA - Mohammad Hassan Khalid, 20, a Pakistani citizen and U.S. lawful permanent resident who resided in Maryland, was sentenced today to five years in prison for conspiracy to provide material support to terrorists. Khalid participated in a scheme to support, recruit and coordinate members of a conspiracy in their plan to wage violent jihad in and around Europe. He pleaded guilty on May 4, 2012.
Khalid conspired with Jamie Paulin-Ramirez and Colleen LaRose, a/k/a “Jihad Jane”, who were charged separately, in a conspiracy to provide material support to terrorists. LaRose also pleaded guilty to conspiracy to kill in a foreign country, making false statements and attempted identity theft and was sentenced to 10 years in prison; Paulin-Ramirez pleaded guilty to conspiracy to provide material support to terrorists and was sentenced to eight years in prison.
In addition to the prison term, U.S. District Court Judge Petrese B. Tucker ordered three years of supervised release, with limited access to computers, and a $100 special assessment. The sentencing result was announced by United States Attorney Zane David Memeger, FBI Special Agent-in-Charge Edward Hanko, and Assistant Attorney General for National Security John Carlin.
Khalid's co-defendant, Ali Charaf Damache, a/k/a “Theblackflag," an Algerian man who resided in Ireland, is in custody in Ireland, pending extradition to the United States.
From about 2008 through July 2011, Khalid and Damache conspired with LaRose, Paulin-Ramirez, and others, to provide material support and resources to terrorists, including logistical support, recruitment services, financial support, identification documents and personnel. Khalid, Damache and others devised and coordinated a violent jihad organization consisting of men and women from Europe and the United States divided into a planning team, a research team, an action team, a recruitment team and a finance team; some of whom would travel to South Asia for explosives training and return to Europe to wage violent jihad.
As part of the conspiracy, Khalid, Damache, LaRose, and others recruited men online to wage violent jihad in South Asia and Europe. In addition, Khalid, Damache, LaRose, and others allegedly recruited women who had passports and the ability to travel to and around Europe in support of violent jihad. LaRose, Paulin-Ramirez, and others traveled to and around Europe to participate in and support violent jihad. In addition, Khalid, LaRose, and others also solicited funds online for terrorists.
For example, in July 2009, Khalid posted or caused to be posted an online solicitation for funds to support terrorism on behalf of LaRose and later sent electronic communications to multiple online forums requesting the deletion of all posts by LaRose after she was questioned by the FBI. In August 2009, Khalid sent a questionnaire to LaRose in which he asked another potential female recruit about her beliefs and intentions with regard to violent jihad. In addition, Khalid received and concealed the location of a U.S. passport that LaRose had stolen from another individual.
The Khalid case was investigated by the FBI Field Division in Baltimore, in conjunction with the FBI's Joint Terrorism Task Force in Philadelphia, and the FBI Field Divisions in New York and Washington, D.C. Authorities in Ireland also provided assistance in this matter.
The case is being prosecuted by Assistant U.S. Attorney Jennifer Arbittier Williams and Trial Attorney Matthew F. Blue, from the Counterterrorism Section of the Justice Department's National Security Division. The Office of International Affairs in the Justice Department's Criminal Division also provided assistance.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
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PATTY HARTMAN, Media Contact, 215-861-8525Easton Man Charged with Possession of Child PornographyRead the Press Release
Matthew Cenac, 23, of Easton, PA, was charged today by Information with the possession of child pornography, announced United States Attorney Zane David Memeger.
If convicted the defendant faces a maximum possible sentence of ten years in prison.
The case was investigated by U.S. Immigration and Customs Enforcement Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Sherri A. Stephan.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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An Indictment/Information/Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
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PATTY HARTMAN, Media Contact, 215-861-8525Connecticut Man Charged with Running Online Fake Diploma SchemeRead the Press Release
PHILADELPHIA – James Enowitch, 48, of Cromwell, CT, was charged today by information with mail fraud and aiding and abetting mail fraud, in connection with the operation of a number of fraudulent diploma mills, announced United States Attorney Zane David Memeger. As a result, between 2003 and 2012, Enowitch allegedly sold $5 million worth of fake degrees throughout the world.
According to the information, as early as 2003, Enowitch began operating a diploma mill, through which he and another co-schemer advertised and sold diplomas for a fee, but required no course work for those diplomas. It is charged that Enowitch and his co-schemer eventually operated at least seven different websites, through which they sold fraudulent degrees, including ReddingUniversity.net, GlendaleUniversity.com, SuffieldUniversity.com,SuffieldUniversity.org, GreenwoodUniversity.org, BrysonUniversity-Edu.org and WorryFreeDegree.com. It is further alleged that each of the seven websites was linked to an entity of the same name, owned by Enowitch and his co-schemer, and that those entities were diploma mills in that they had no faculty members, offered no academic curricula or services, required no course or class work, and were not recognized by the United States Department of Education. It is further alleged that Enowitch and his co-schemer went so far as to create a fraudulent accrediting body, called the “National Distance Learning Accreditation Council” (“NDLAC”), in order to claim that their diploma mills were accredited.
According to the information, Enowitch and others created phony transcripts that represented that the purchaser had taken certain coursework that the purchaser had never taken; allowed purchasers to create their own transcripts and backdate degrees; and provided fraudulent verification services to back up the fake degrees, in case an employer or other party sought verification. Enowitch and his co-schemer allegedly advertised degree packages ranging from $475 to $550 for associates, bachelors, masters, and doctoral-level degrees, with a “multi-degree discount” for buying more than one. For an additional fee, purchasers could also allegedly select grades for the phony courses included in their transcripts.
If convicted, the defendant faces a maximum possible sentence of 20 years in prison, three years of supervised release, a $250,000 fine, a $100 special assessment, and an order of forfeiture.
The case was investigated by the Federal Bureau of Investigation, the U.S. Department of Health and Human Services Office of the Inspector General, the Defense Criminal Investigative Service, and U.S. Immigrations and Customs Enforcement Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Matthew J.D. Hogan.
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An Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Astellas Pharma US, Inc. to Pay $7.3 Million to Resolve False Claims Act AllegationsRead the Press Release
PHILADELPHIA – Pharmaceutical company Astellas Pharma US, Inc., will pay $7.3 million to resolve allegations that it violated the False Claims Act in connection with its marketing and promoting of the drug Mycamine for pediatric use. The settlement was announced today by United States Attorney Zane David Memeger and the Justice Department. Astellas Pharma US, Inc., located in Northbrook, Illinois, manufactures and sells pharmaceutical drugs, including Mycamine.
The settlement resolves allegations that, between 2005 and 2010, Astellas knowingly marketed and promoted the sale of Mycamine for pediatric use, which was not a medically accepted indication and, therefore, not covered by federal health care programs. During this time period, the FDA approved Mycamine to treat adult patients suffering from serious and invasive infections caused by the fungus Candida, including infections in the esophagus, the blood and the abdomen, and to prevent Candida infections in adults undergoing stem cell transplants. From 2005 until June 2013, however, Mycamine was not approved to treat pediatric patients for any use.
“The settlement in this case further demonstrates our commitment to hold responsible any pharmaceutical company that disregards the FDA drug approval process and promotes drugs for uses before they have been deemed safe and effective,” said U.S. Attorney for the Eastern District of Pennsylvania Zane David Memeger. “It’s a message that should resonate with all drug companies: there are consequences for violating the False Claims Act and putting profit ahead of government safeguards.”“The FDA’s drug approval process requires companies to demonstrate the safety and efficacy of their products,” said Assistant Attorney General for the Justice Department’s Civil Division Stuart F. Delery. “The Justice Department will hold accountable pharmaceutical companies that skirt these rules and seek to bill federal health care programs for uses of drugs that are not reimbursable.”
As a result of today’s $7.3 million settlement, the federal government will receive $4.2 million, and state Medicaid programs will receive $3.1 million.
“Pharmaceutical companies that ignore rules designed to protect patients – in this case, children – will be held accountable,” said Nick DiGiulio, Special Agent in Charge for the United States Department of Health and Human Services in Philadelphia. “We will continue to work with the Department of Justice to root out all forms of waste, fraud and abuse in our federal health care programs.”
The allegations resolved by the settlement arose from a lawsuit filed by Frank Smith, a former Astellas sales representative, under the False Claims Act’s whistleblower provisions, which permit private parties to sue for false claims on behalf of the government and to share in any recovery. Smith will receive $708,852.
This settlement illustrates the government’s emphasis on combating health care fraud and marks another achievement for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced in May 2009 by Attorney General Eric Holder and Secretary of Health and Human Services Kathleen Sebelius. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation. One of the most powerful tools in this effort is the False Claims Act. Since January 2009, the Justice Department has recovered a total of more than $19.1 billion through False Claims Act cases, with more than $13.6 billion of that amount recovered in cases involving fraud against federal health care programs.
For the Eastern District of Pennsylvania, the settlement in this case was handled by Assistant United States Attorney Susan Becker.
This case was a cooperative effort among the U.S. Attorney’s Office for the Eastern District of Pennsylvania, the Civil Division of the Department of Justice and the Offices of the Inspectors General of the Department of Health and Human Services and Office of Personnel Management. The lawsuit is captioned United States ex rel. Smith v. Astellas Pharma US, Inc. et al., No. 10-999 (E.D. Pa.).
The claims resolved by the settlement are allegations only; there has been no determination of liability.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Former IRS Worker Charged in Tax FraudRead the Press Release
Lora Lewis, 51, of Philadelphia, PA, a former Internal Revenue Service employee, was charged today by information with one count of filing false income tax returns, announced United States Attorney Zane David Memeger. Lewis worked as a contact representative for the IRS in the Philadelphia office.
According to the information, between 2007 and 2011, Lewis was receiving unemployment compensation which she did not report on her income tax returns; claimed tax credits which she was not eligible to claim, such as the first time home buyers credit, the earned income tax credit and the education credit; and deductions, such as IRA contributions that were never made, in order to reduce her taxable income. Lewis allegedly defrauded the government of $39,000.
If convicted, Lewis faces three years in prison, restitution to the IRS, a fine of up to $250,000, one year of supervised release, and a $100 special assessment.The case was investigated by the Internal Revenue Service Criminal Investigations, and the Treasury Inspector General for Tax Administration (TIGTA). It is being prosecuted by Assistant United States Attorney Virgil B. Walker.
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An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
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PATTY HARTMAN, Media Contact, 215-861-8525Pair Charged with Robbing Grocery StoreRead the Press Release
Dylan Capone, 21, and Michael Young, 24, both of Philadelphia, charged today by Indictment with committing the January 28, 2014, armed robbery of the Chuen Hing Grocery, located at 1414 South 6th Street, Philadelphia, Pennsylvania, announced United States Attorney Zane David Memeger. Capone and Young were also charged with brandishing a firearm in connection with that robbery.
If convicted Capone and Young face a mandatory minimum term of seven years in prison with a maximum possible sentence of life.
The case was investigated by the Federal Bureau of Investigation and Philadelphia Police Department. It is being prosecuted by Assistant United States Attorney Paul G. Shapiro.
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An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Last Defendant Sentenced for Counterfeiting GuitarsRead the Press Release
PHILADELPHIA – Randy Gray, 27, of Fort Worth, TX, was sentenced today for his role in a scheme to traffic in counterfeit guitars carrying the marks of C.F. Martin and Company Guitars, Guild Guitars Incorporated and Gibson Guitar Corporation. The counterfeit goods bore marks that were identical with and substantially indistinguishable from genuine marks in use and registered for those goods on the principal register in the United States Patent and Trademark Office, and which are found on genuine guitars, and the use of which was meant to deceive. The scheme resulted in 165 counterfeit guitars being sold to unsuspecting pawn shops which paid a total of approximately $56,000 for the items.
Gray is one of four defendants charged in the case, each of whom pleaded guilty. In addition to one day in jail and three years of supervised release, the judge ordered the following: Gray was ordered to pay $7,617 in restitution; co-defendant Bruce Alford, 41, of Fort Worth, TX, was ordered, on December 5, 2013, to pay $8,701 in restitution and a $100 special assessment. Co-defendant Josh Davis, 39, of Galveston, TX, was ordered, on January 15, 2014, to pay $22,047.60 in restitution and serve six months of home confinement; co-defendant Romeo Rondeau, 44, of Fort Worth, TX, was ordered, on November 7, 2013, to pay $7,133.93 in restitution and serve six months of home confinement.
The case was investigated by the FBI – Allentown Resident Agency and is being prosecuted by Assistant United States Attorney John Gallagher.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Last Defendant Sentenced for Counterfeiting GuitarsRead the Press Release
PHILADELPHIA – Randy Gray, 27, of Fort Worth, TX, was sentenced today for his role in a scheme to traffic in counterfeit guitars carrying the marks of C.F. Martin and Company Guitars, Guild Guitars Incorporated and Gibson Guitar Corporation. The counterfeit goods bore marks that were identical with and substantially indistinguishable from genuine marks in use and registered for those goods on the principal register in the United States Patent and Trademark Office, and which are found on genuine guitars, and the use of which was meant to deceive. The scheme resulted in 165 counterfeit guitars being sold to unsuspecting pawn shops which paid a total of approximately $56,000 for the items.
Gray is one of four defendants charged in the case, each of whom pleaded guilty. In addition to one day in jail and three years of supervised release, the judge ordered the following: Gray was ordered to pay $7,617 in restitution; co-defendant Bruce Alford, 41, of Fort Worth, TX, was ordered, on December 5, 2013, to pay $8,701 in restitution and a $100 special assessment. Co-defendant Josh Davis, 39, of Galveston, TX, was ordered, on January 15, 2014, to pay $22,047.60 in restitution and serve six months of home confinement; co-defendant Romeo Rondeau, 44, of Fort Worth, TX, was ordered, on November 7, 2013, to pay $7,133.93 in restitution and serve six months of home confinement.
The case was investigated by the FBI – Allentown Resident Agency and is being prosecuted by Assistant United States Attorney John Gallagher.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Charges Allege Woman Used Dead Mother's Government BenefitsRead the Press Release
Elizabeth Goode-Bishop, 65, of New Castle, Delaware, was charged today by information with one count of theft of government funds, announced United States Attorney Zane David Memeger. According to the information, the defendant received retirement benefits intended for her mother, after her mother’s death in March 1988 until her fraud was discovered in October 2013. The defendant’s alleged actions resulted in a loss to the government of approximately $169,198.
If convicted, the defendant faces a maximum possible sentence of 10 years in prison, a three year period of supervised release, restitution to the government of $169,198, a $250,000 fine, and a $100 special assessment.
The case was investigated by the Social Security Administration Office of Inspector General, and is being prosecuted by Special Assistant United States Attorney Amanda R. Reinitz.
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An Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Pennsylvania Woman Indicted on Drug and Gun ChargesRead the Press Release
Lynda Hang Vang, 46, of Akron, Pennsylvania was charged today by Indictment with attempted possession with intent to distribute Methylenedioxy-N-methylcathinone (“methylone”) and possession of a firearm in furtherance of a drug trafficking crime, announced United States Attorney Zane David Memeger.
If convicted, the defendant faces a maximum possible sentence of 25 years in prison, a fine of up to $1 million, and three years of supervised release.
The case was investigated by Immigration and Customs Enforcement (ICE) Homeland Security Investigations and is being prosecuted by Assistant United States Attorney Yvonne Osirim.
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An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Airplane Repair Business Owner Convicted in Scheme to Falsify InspectionsRead the Press Release
PHILADELPHIA – A federal jury, today, found Jay Stout, 55, formerly of Elizabethtown, PA, and his company, Flying Tigers, Inc., guilty of conspiracy, fraud involving aircraft parts, mail fraud, and obstruction of justice. A sentencing hearing has not yet been scheduled. Stout was president of Flying Tigers, a former airplane mechanical repair business located in Marietta, PA. He was indicted with his son Joel, 33, also of Elizabethtown. Joel Stout previously pleaded guilty and will be sentenced May 6, 2014.
Between October 2003 and January 2010, Stout conspired with his son and others to commit fraud in aircraft parts, mail fraud, and wire fraud, by charging customers for the annual inspections of their aircraft, despite the absence of a certified mechanic with inspection authority, a certification given by the FAA. In order to conceal the absence of an authorized certification, Stout and Flying Tigers prepared fraudulent certifications of annual inspections for the airplane and engine log books or, on other occasions, failed to create the necessary certification at all. Some customers who brought their airplanes into Flying Tigers for annual inspections were charged for the inspection, but Flying Tigers never provided a signed certification in the airplane or engine log books recording the annual inspection. By this method, the absence of the valid signature of a certified mechanic was not evident to the Flying Tigers customers. Other annual inspections were certified in the log books by Jay Stout, even though Jay Stout was no longer authorized to certify annual inspections. In other annual inspections, the signatures of certified mechanics with inspection authority were forged in the log books. Such was the case with one former Flying Tigers employee who left Flying Tigers in late 2006/early 2007, but whose forged or fraudulent signatures appear on certified annual inspections, both before the period that the former employee had his certification, and through October 2007, long after he stopped working for Flying Tigers. In addition, the fraudulent signature of Gilbert Stout, Jay Stout’s father, appeared on annual inspections many years after Gilbert Stout stopped working on aircraft, and the forged and fraudulent signature of Joel Stout, a Flying Tiger, Inc. employee and Jay Stout’s son, appeared on annual inspections that Joel Stout did not perform. Many airframe and engine log books, containing these and other entries, were shown to the jury during the trial.
When Jay Stout learned, in late 2007, that federal authorities were investigating the log book entries of Flying Tigers customers, Jay Stout intentionally altered log books in an effort to further conceal his fraud. He faces a statutory maximum sentence of 90 years in prison, possible restitution to his victims, and three years of supervised release.
The case was investigated by the United States Department of Transportation Office of Inspector General and is being prosecuted by Assistant United States Attorney Arlene Fisk.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Pleads Guilty to Multi-Million Dollar Mortgage Fraud SchemeRead the Press Release
PHILADELPHIA – Eric Sijohn Brown, 46, of Philadelphia, pleaded guilty today to 20 counts in connection with a mortgage fraud scheme involving KREW Settlement Services. Brown pleaded guilty to conspiracy, two counts of FHA loan fraud, 12 counts of loan fraud, and three counts of tax evasion. Between May 2004 and February 2009, Brown and his co-conspirators inflated purchase prices on loan documents for more than 100 Philadelphia properties resulting in more than $20 million in fraudulent loan proceeds. A sentencing hearing is scheduled for July 8, 2014. Brown faces a maximum possible sentence of 486 years in prison, including a mandatory two year term, five years of supervised release, a fine of up to $15 million, and $2,000 special assessment. A forfeiture notice was also filed seeking more than $13.7 million from all defendants.
KREW Settlement Services was a Philadelphia real estate settlement company and Brown was a general contractor who worked with his co-defendants to identify distressed properties to purchase, typically in the West Philadelphia area. The scheme involved recruiting “straw buyers” whose credit history and personal information was used to purchase the properties, obtain mortgage loans, and take title to the properties, when, in reality, the properties were owned and controlled by the defendants. Mortgage loan applications were then prepared in the names of the straw buyers containing a host of false information, including false purchase prices, false employment and income information, and false statements about the straw buyers living in the properties. Mortgage brokers - including Roderick Foxworth, Walter Brown, and John William Polosky (charged separately in the Western District of Pennsylvania) - allegedly submitted the fraudulent loan applications to lenders to secure the loans for the buyers, knowing that the information was false.
Charged with Brown were Roderick L. Foxworth, Sr., Cynthia Evette Brown, Walter Alston Brown, Jr., and Kevin Joseph Franklin. Cynthia Brown is alleged to have falsely verified that many of the straw buyers worked for her employer, Unicco Service Company, when they did not. Kevin Joseph Franklin, a title agent, is alleged to have falsely prepared two deeds and settlement statements (referred to as "Form HUD-1") – one for the seller that showed the actual agreed-upon purchase price and a false one for the lender that showed the grossly inflated purchase price. Franklin is also alleged to have created false title insurance policies for the lenders.
After the loans funded, the seller was paid the agreed-upon purchase price, and the difference between the actual purchase price and the false purchase price quoted to the lender was shared with and distributed by Franklin to Eric Brown, Foxworth, Walter Brown, and Cynthia Brown, and many of these payments were not reflected on the HUD-1 forms.
The case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service Criminal Investigations, and the Department of Housing and Urban Development’s Office of Inspector General. It is being prosecuted by Assistant United States Attorney Michael S. Lowe.
In addition to the five defendants charged with Brown, and the three defendants charged by the Western District of Pennsylvania, seven defendants were charged by information.As alleged in the indictment, “KREW” is an acronym of the first names of Kevin Joseph Franklin, Roderick L. Foxworth, Sr., Eric Sijohn Brown, and Walter Alston Brown, Jr.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Thomas Jefferson University to Pay $77,486 to Resolve Overbilling AllegationsRead the Press Release
PHILADELPHIA - Thomas Jefferson University and Jefferson University Physicians, Department of Emergency Medicine have agreed to a $77,486 settlement to resolve allegations arising from overbilling for services, announced United States Attorney Zane David Memeger. The settlement arose as a result of a voluntary self-disclosure after Thomas Jefferson University’s Counsel for Compliance identified certain Medicare Part B professional fee billing anomalies during a routine internal compliance review. Based upon this review, it appeared that certain professional fee services in the emergency room were billed under a physician’s National Provider Identification number when those services should have been billed under either the National Provider Identification number of the Physicians Assistants or Certified Registered Nurse Practitioners.
Prior to the settlement, Thomas Jefferson University engaged a third-party firm to conduct a comprehensive billing audit and provided the results to the United States. Thomas Jefferson University agreed that the billing was not accurate and thus, that the government paid more than it should have for the services provided. Under the parties’ settlement agreement, signed today, Thomas Jefferson University and Jefferson University Physicians, Department of Emergency Medicine will pay $77,486.00 to the United States. Thomas Jefferson University also conducted education in an effort to prevent any subsequent billing anomalies.
This resolution was handled by Assistant U.S. Attorneys John T. Crutchlow and Veronica J. Finkelstein.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525New Jersey Woman Charged with Bilking Non-ProfitRead the Press Release
Rochelle Biesenthal, 64, of Brigantine, New Jersey, was charged today by information with one count of wire fraud and three counts of tax evasion in connection with an alleged scheme to defraud the Jewish Heritage Programs (“JHP”), a non-profit corporation based in Philadelphia, announced United States Attorney Zane David Memeger.
According to the information, Biesenthal carried out the scheme between 2002 and April 2009, while employed as a bookkeeper at JHP. She allegedly prepared and issued checks, made payable to her, drawn on JHP’s bank accounts. It is further alleged that Biesenthal fraudulently authorized electronic debits from JHP’s bank accounts to pay for her personal credit cards and her family’s personal credit cards. As part of the scheme, it is alleged that she defrauded JHP of a total of over $400,000. In addition, according to the information, she never reported her unauthorized income in her tax returns in tax years 2007 through 2009 and concealed the true sources of her income.
If convicted the defendant faces a maximum possible sentence of 35 years in prison, a three-year period of supervised release, a fine of up to $1 million, and a $400 special assessment.The case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service Criminal Investigations. It is being prosecuted by Assistant United States Attorney Sozi Pedro Tulante.
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An Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Ambulance Company Driver Sentenced to PrisonRead the Press Release
PHILADELPHIA – Valeriy Davydchik, 59, of Philadelphia, PA, was sentenced today to 24 months in prison for his role in a conspiracy to defraud Medicare involving Penn Choice Ambulance Inc., located in Camp Hill, PA and Huntingdon Valley, PA. On April 9, 2013, the defendant, Anna Mudrova, Yury Gerasyuk, Mikhail Vasserman, Irina Vasserman, Aleksandr Vasserman, Khusen Akhmedov, and Penn Choice Ambulance Inc. were indicted and charged with conspiracy to commit health care fraud and related charges. All defendants have pleaded guilty and await sentencing before U.S. District Court Judge Juan R. Sànchez.
From September 2009 through January 2013, Penn Choice transported patients who were able to walk and could travel safely by means other than ambulance and who, therefore, were not eligible for ambulance transportation under Medicare requirements. Penn Choice falsified reports to make it appear that the patients needed to be transported by ambulance. Penn Choice billed Medicare for these medically unnecessary services. As a result, Penn Choice caused Medicare to pay more than $1.5 million based on these fraudulent claims. Defendant Davydchik joined Penn Choice in 2011 as an ambulance driver. He transported patients who walked to and from the ambulance, and often drove patients to medical appointments in his personal vehicle. Penn Choice submitted claims to Medicare for ambulance transport for these patients. Defendant Davydchik also falsified records and delivered kick-back payments to Medicare beneficiaries to induce them to be transported by Penn Choice ambulance even though such transport was not medically necessary.
In addition to the prison term, U.S. District Court Judge Juan R. Sanchez ordered defendant Davydchik to pay restitution to Medicare and imposed a 3-year term of supervised release after imprisonment. The Court also ordered the forfeiture of any assets traceable to the offense, and in lieu of assets, a money judgment against the defendant of $870,310.14.
The case was investigated by the Federal Bureau of Investigation and the U.S. Department of Health and Human Services, Office of the Inspector General. It is being prosecuted by Assistant United States Attorney M. Beth Leahy.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Convicted Felon Gets 15 Years for Robbing Neighborhood StoreRead the Press Release
Kareem McBride, a/k/a "Alif Holmes," 32, of Philadelphia, PA, was sentenced today to 15 years in prison for robbery and gun charges. McBride pleaded guilty on May 20, 2013 to robbery which interferes with interstate commerce, using and carrying a firearm during a crime of violence, and being a convicted felon in possession of a firearm.
On October 12, 2012, McBride robbed the Wyalusing Food Market, at 54th and Wyalusing, at gunpoint. The store is owned by a husband and wife. McBride entered the store wearing a black knit hat pulled down over his face, brandishing a loaded black revolver that he pointed directly at the female store owner who had been working behind the counter. McBride forced the victim to give him money from the cash register, then pointed his gun at the male store owner who had been in the back of the store. The male store owner had a gun of his own and when McBride pointed his gun at him, the victim shot McBride. The male store owner then detained McBride on the street outside of the store until the police arrived.
McBride was charged with convicted felon in possession of a firearm because he had previously been convicted of a felony. He had amassed nine separate convictions between 1999 and 2011 for drugs, robbery and firearms crimes before robbing the Wyalusing Food Market.
In addition to the prison term, seven years of which is mandatory, U.S. District Court Judge Mary McLaughlin ordered three years of supervised release and a $300 special assessment.
The case was investigated by the Philadelphia Police Department and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Thomas Zaleski.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Widespread Group of Defendants Charged with Securities FraudRead the Press Release
An indictment charging a market manipulation scheme was unsealed today against six defendants in connection with the trading of stock in Super Nova Resources, Inc. (“SNRR”), announced United States Attorney Zane David Memeger. Charged with conspiracy, wire fraud, and securities fraud are: Carl Marciniak, 50, of California, Jeffrey Weinfurter, 46, of Yorba Linda, CA, James Wheeler, 54, of Corona, CA, Daniel Starczewski, 67, of Cornelius, NC, Danny Colon, 46, of Edgewater, NJ, and Louis Buonocore, 59, of Woburn, MA. According to the indictment, the defendants ran the scheme with the intent to cause approximately $150 million in losses to participants in the over-the-counter U.S. securities market.
If convicted, each defendant faces a maximum statutory penalty of 55 years in prison, three years of supervised release, a $5.5 million fine, and a $300 special assessment.
The case was investigated by Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorneys Judy Smith and Patrick J. Murray.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Montgomery County Man Charged with Clean Air Act ViolationRead the Press Release
Anthony Biello II, 55, formerly of Ambler, Pennsylvania, was charged today by indictment with one count of violating the Clean Air Act, announced United States Attorney Zane David Memeger. According to the indictment, Biello failed to notify the City of Philadelphia’s Air Management Services division of the U.S. Environmental Protection Agency of the removal of asbestos-containing material from a former church located at 1133 Spring Garden Street in Philadelphia.
If convicted, defendant Biello faces a maximum possible sentence of five years in prison.
The case was investigated by the Environmental Protection Agency’s Criminal Investigation Division, with assistance from the City of Philadelphia’s Air Management Services office. The case is being prosecuted by Special Assistant United States Attorneys Martin Harrell and Patricia C. Miller from the EPA.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Indictment Charges Philadelphia Man with Armed CarjackingRead the Press Release
Michael Green, 31, of Philadelphia, PA, was charged today by indictment with carjacking and brandishing a firearm during and in relation to a crime of violence, announced United States Attorney Zane David Memeger. The indictment charges that the defendant committed these offenses on or about December 5, 2012.
If convicted of all charges, the defendant faces a maximum of life imprisonment, with a consecutive mandatory minimum sentence of seven years imprisonment. The defendant also faces five years of supervised release, a $500,000 fine, and a $200 special assessment.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and is being prosecuted by Assistant United States Attorney V. Paige Pratter.
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An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Former L&I Deputy Commissioner Indicted on Fraud and Extortion ChargesRead the Press Release
PHILADELPHIA - Dominic Verdi, 58, of Philadelphia, Pennsylvania was charged today by indictment with Hobbs Act Conspiracy, Hobbs Act Extortion, and Honest Services Fraud, announced United States Attorney Zane David Memeger.
The indictment alleges that Verdi, a former deputy commissioner of the Department of Licenses and Inspections for the City of Philadelphia and a member of the Philadelphia Public Nuisance Task Force, also had an ownership interest in a beer distributor named “Chappy’s Beer, Butts, and Bets.” The indictment further alleges that Verdi used his official position to coerce Philadelphia bar and restaurant owners to purchase beer from Chappy’s in exchange for favorable treatment from Verdi. The indictment also alleges that Verdi lied to employees of Philadelphia’s Inspector General’s office to conceal his ownership in Chappy’s.
If convicted the defendant faces a maximum possible sentence of 140 years in prison, three years supervised release, a maximum fine of $1.75 million, and a $700 special assessment.
The case was investigated by Federal Bureau of Investigation with assistance from the City of Philadelphia Office of the Inspector General. It is being prosecuted by Assistant United States Attorney David L. Axelrod.
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An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Brothers Charged in Fraud on Pennsylvania BusinessRead the Press Release
PHILADELPHIA - An indictment was unsealed yesterday charging Owen Moore, 50, of Pottstown, PA, and Larry Moore, 52, of East Hampton, Connecticut, in a scheme to defraud a Pennsylvania corporation, announced United States Attorney Zane David Memeger. The indictment charges the brothers with conspiracy to commit mail fraud and mail fraud for conspiring to defraud Siemens Corporation of $263,739.84. Owen Moore is also charged with wire fraud.
The alleged scheme was carried out between February 2008 and May 2010, while Owen Moore was employed as finance manager at Siemens’ Malvern, Pennsylvania office. Larry Moore owned and operated Benchmark Solutions, LLC, out of East Hampton, Connecticut. The indictment alleges that Owen Moore directed his brother to submit fraudulent invoices to Siemens from Benchmark Solutions. Larry Moore deposited 19 checks from Siemens and forwarded half of the proceeds to his brother.
It is further alleged that Owen Moore defrauded Siemens of an additional $42,291.28 which was used for tuition and other expenses not authorized by the company. Moore allegedly had some of his employees charge the expenses on their company-issued credit cards which he then approved.
If convicted, Owen Moore faces an advisory sentencing guideline range of approximately 46 to 57 months in prison plus restitution; Larry Moore faces an advisory sentencing guideline range of approximately 30 to 37 months in prison plus restitution.
The case was investigated by the Secret Service. The case is being prosecuted by Assistant United States Attorney Christopher Diviny.
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An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Delaware County Man Sentenced for Mortgage and Bank FraudRead the Press Release
PHILADELPHIA - Simon H. Aouad, 35, of Garnet Valley, PA, was sentenced today to 70 months in prison and restitution of $5,462,682 for a mortgage fraud scheme involving fraudulently obtained mortgages to purchase properties in North Wildwood, NJ, and Dorchester, MA, and a bank fraud scheme involving fraudulently obtained lines of credit at Wachovia Bank, now Wells Fargo Bank. Aouad pleaded guilty to conspiracy, mail fraud, and bank fraud. He was involved in three schemes. In the first, properties primarily located in North Wildwood, NJ, were purchased for inflated sale prices, and using false borrower income and asset information so that the buyers could obtain kickbacks totaling tens of thousands of dollars, which were not disclosed to the lenders. In the second, lines of credit at Wachovia Bank were obtained using false borrower income and employment information. In the third, the conspirators arranged for sham real estate transactions involving properties located in Dorchester, MA, in which a straw buyer would purchase properties from one of the conspirators for inflated prices. The sham sales were financed with fraudulently obtained mortgages. The conspirators split the proceeds of the sham sales.
Aouad=s co-conspirators in the North Wildwood scheme included John C. Lucidi, Jr., Daniel Mumbower (who was, at the time, an employee of Wachovia Bank), Timothy Cook, Eric Maratea, and Eric Itzi, all of whom have pleaded guilty to charges stemming from the mortgage fraud scheme. Aouad brought willing buyers, such as Cook, Maratea, and Itzi, to Lucidi, in exchange for fees and kickbacks for each successful buyer. In the Massachusetts mortgage fraud scheme, Aouad identified straw buyers for his co-conspirators, which included a former mortgage broker, and Aouad shared in the proceeds of the sham sales. The mortgages Aouad facilitated in both schemes went into default and caused losses to the lenders of a little more than $5 million.
Aouad=s co-conspirators in the bank fraud scheme included a loan broker by the name of Gerald Cathie, who is charged elsewhere, as well as Daniel Mumbower, a corrupt Wachovia Bank loan officer. Similar to his role in the mortgage fraud schemes, Aouad facilitated the fraudulently obtained Wachovia Bank lines of credit by bringing borrowers to Cathie and Mumbower to apply for the lines of credit using false income and other information. When the loans were funded, the borrowers paid Cathie a fee of 5-7% of the amount of loan proceeds, Cathie kicked money back to the loan officer, and the loan officer paid Aouad several thousand dollars from the loan proceeds for his role in identifying the borrower. The Wachovia Bank loans that Aouad facilitated went into default and caused losses to Wachovia Bank of approximately $400,000.In addition to the prison term and restitution, U.S. District Court Judge C. Darnell Jones, II, ordered forfeiture of $3,675,468, a $400 special assessment, and five years of supervised release.
The case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service Criminal Investigations, and the United States Secret Service. It was prosecuted by Assistant United States Attorneys Nancy E. Potts.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Two Charged with Robbing Soft Pretzel CompanyRead the Press Release
Donte Camp, 41, of Philadelphia, and Calvin Maurice Clark, 43, of Bensalem were charged today by indictment with robbing the Center City Soft Pretzel Company, in Philadelphia, on October 29, 2013, announced United States Attorney Zane David Memeger. The indictment charges each defendant with one count of robbery which interferes with interstate commerce, one count of using and carrying a firearm during a crime of violence, and one count of being a convicted felon in possession of a firearm.
If convicted, each defendant faces a mandatory minimum of seven years in prison with a maximum possible sentence of life imprisonment, a $750,000 fine, five years of supervised release, and a $300 special assessment.
The case was investigated by Federal Bureau of Investigation, the Philadelphia Police Department, and the Philadelphia County District Attorney=s Office and is being prosecuted by Assistant United States Attorney Jeffery W. Whitt.
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An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Lehigh Valley Doctor Indicted on Tax ChargesRead the Press Release
Dennis Erik Fluck Von Kiel, 57, of Macungie and New Tripoli, PA, the former medical director of Lehigh County Prison (“LCP”) was formally indicted today on one count of conspiracy to defraud the United States and five counts of attempting to evade or defeat federal taxes, announced United States Attorney Zane David Memeger. Von Kiel has been held without bail at the Federal Detention Center since his arrest on February 28, 2014, on a federal criminal complaint.
Von Kiel is a doctor of osteopathy whose medical practice included treating inmates at LCP from approximately March 1989 until approximately August 2013. According to the indictment, Von Kiel earned wages of more than $200,000 a year from 2008 through 2012 and paid no federal taxes during any of those years. Von Kiel had represented that he was exempt from federal taxes because he was a minister of a religious institution called the “International Academy of Lymphology” (and its successors, the “International Academy of Life” and the “Christian Forum Assembly Church”) and had taken a “vow of poverty.”
It is further alleged that Von Kiel directed his employer to deposit his bi-weekly paychecks into bank accounts for his “church,” and once the money arrived in those accounts, co-conspirators would transfer nearly the same amount of money into Pennsylvania bank accounts controlled by Von Kiel. Von Kiel then allegedly used that money to pay for all of his family’s day-to-day living expenses and to buy some unusual items such as a batting cage for his sons, all while purportedly living under his “vow of poverty.”
If convicted, Von Kiel faces a maximum possible sentence of 30 years in prison, up to three years of supervised release, a fine of up to $1.5 million, and a $600 special assessment.
This case was investigated by Internal Revenue Service Criminal Investigations and the FBI. It is being prosecuted by Assistant United States Attorney Mark B. Dubnoff.
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An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Judge Sends Advance Pay Schemer to Prison for 18 YearsRead the Press Release
Case Involved Multi-Million Dollar Fraud Of Entrepreneurs
PHILADELPHIA - Andrew Bogdanoff, 67, of Scottsdale, Arizona, was sentenced today to 220 months in prison for defrauding 1,900 victims out of more than $26 million in a financial scheme involving Remington Financial Group and Remington Capital (collectively “Remington”). The advance fee scheme defrauded victims searching for commercial financing. Bogdanoff pleaded guilty on August 29, 2013 to conspiracy to commit mail and wire fraud, mail fraud, wire fraud, money laundering, conspiracy to defraud the United States, and filing false tax returns. In addition to the prison term, U.S. District Court Judge William H. Yohn, Jr. ordered full restitution to Bogdanoff’s victims in the amount of $26,049,893 and to the IRS in the amount of $962,820, a $2,100 special assessment, and three years of supervised release.
Charged with Bogdanoff were Matthew McManus, 44, of Glenside, Pennsylvania, Shayne Fowler, 28, of Scottsdale, Arizona, Joel Nathanson, 26, of San Diego, California, Frank Vogel, 48, of Rochester Hills, Michigan, and Aaron Bogdanoff, 25, of Scottsdale, Arizona.
Andrew Bogdanoff was the founder and chairman of Remington Financial Group (later renamed Remington Capital) and ran the company with defendant Matthew McManus until 2008 in Arizona and Pennsylvania. After McManus left the company in 2008, defendant Fowler replaced McManus as Bogdanoff’s right-hand man. Defendant Joel Nathanson was one of Remington’s most proficient employees and helped Remington defraud many victims. Defendant Frank Vogel was a Michigan-based broker who referred numerous victims to Remington in exchange for large kickbacks.
Between 2005 and 2011, the defendants fraudulently induced hundreds of people to pay Remington fees in excess of $10,000 a piece, based on false representations that Remington had lenders and/or investors ready to provide financing for the victims’ projects. To facilitate this fraud the defendants issued each victim a “letter of interest,” commonly referred to as an LOI. Almost every LOI Remington issues stated that Remington had a lender or investor interested in financing the victim’s project. Remington issued an LOI to every victim even though no Remington employee had spoken to any funding source and Remington knew that it was unlikely to find funding for the project.
The LOI was written to fraudulently lead victims to believe that Remington was either a lender or had spoken to lenders that had already expressed interest in the customer's project when neither was true. Additionally, the financing terms Remington included in the LOI were unrealistic and were used solely to induce customers to pay Remington's advance fees. In addition to the false representations in the LOI, the defendants and other Remington employees allegedly also told victims the following lies to further induce victims to pay Remington’s fees: a) Remington had five investors or lenders interested in their project; b) Remington was the actual lender for the project; c) Remington funded or “closed” 80 percent of its deals; d) the victim would get funding for the project once the advance fee was paid and/or; e) Remington would provide funding through its funding source Northbridge.
After a customer paid Remington’s fee, McManus and Andrew Bogdanoff instructed Remington employees to find problems with the projects so that Remington could blame its failure to provide financing on the victim. The defendants did this to help protect Remington from civil and criminal complaints.
Some of the defendants used sophisticated means to perpetuate the fraud. For instance, in 2010, defendants Fowler and Andrew Bogdanoff used Remington’s website to advertise an anti-fraud policy and stated falsely that Remington had recently provided information to the Federal Bureau of Investigation and local law enforcement authorities about a suspected email scam. Remington posted this information to ensure that if potential customers used an internet search engine to search for allegations about Remington's fraud they would be directed to Remington's website, rather than third-party internet sources that contained negative information about Remington.
McManus was convicted at trial and will be sentenced on May 21, 2014. A plea hearing for Vogel is scheduled for April 15, 2014, in U.S. District Court in the Eastern District of Michigan. The remaining defendants have already pleaded guilty. A sentencing hearing for Aaron Bogdanoff is scheduled for April 11, 2014. Sentencing hearings for Fowler and Nathanson are scheduled for May 20, 2014.
The case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service Criminal Investigation Division with assistance from the Pennsylvania Securities Commission. It is being prosecuted by Assistant United States Attorney David Axelrod.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Doctor Arrested on Charges of Tax FraudRead the Press Release
Elias Karkalas, 50, a medical doctor who resides in Phoenixville, Pennsylvania, was arrested yesterday on tax charges, announced United States Attorney Zane David Memeger. Karkalas owned and operated Upper Merion Family Practice P.C. The indictment, unsealed today, charges corrupt or forcible interference with the administration of Internal Revenue Laws, filing false individual and corporate tax returns, and failing to file personal and corporation tax returns.
According to the indictment, Karkalas was a participant in an Internet pharmacy organization which permitted individuals, seeking to purchase prescription drugs, to acquire a prescription from a physician without an examination. Between 2005 and 2011, Karkalas allegedly authorized more than 750,000 prescriptions for which he was paid approximately $2.5 million which the defendant failed to report on his corporate and individual tax returns.
If convicted, Elias Karkalas faces a maximum possible sentence of 15 years in prison, a fine of up to $1.3 million, restitution to the IRS, a special assessment of $475, and two years of supervised release.
The case was investigated by Internal Revenue Service Criminal Investigations. It is being prosecuted by Assistant United States Attorney Floyd J. Miller and Trial Attorney Dennis R. Kihm, with the U.S. Department of Justice’s Tax Division.
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An Indictment, Information or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Alleged Cosi Robber Added to IndictmentRead the Press Release
Ronald Stone, 29, of Philadelphia, PA, was charged today by superseding indictment with three robberies or attempted robberies at various Cosi stores, announced United States Attorney Zane David Memeger. Stone was added to an indictment charging James Pray. According to the indictment, on December 3, 2013, Stone and Pray robbed the Cosi store, at 235 S. 15th Street in Philadelphia; on December 9, 2013, they allegedly attempted to rob the Cosi at 140 S. 36th Street in Philadelphia; and on December 24, 2013, they allegedly robbed the Cosi, at 235 S. 15th Street in Philadelphia. The pair is also charged with using a handgun during the two robberies.
If convicted,each defendant faces a mandatory minimum of 32 years in prison with a maximum sentence of life, as well as five years of supervised release, a substantial fine, a special assessment, restitution, and forfeiture of the firearm and ammunition.This case was investigated by the Federal Bureau of Investigation, Philadelphia Police Department, and the Philadelphia District Attorney's Office. It is being prosecuted by Assistant United States Attorney Ewald Zittlau.
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An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Identity Thief Sentenced to Six Years in PrisonRead the Press Release
PHILADELPHIA - Carnell Ragan, 48, of Philadelphia, was sentenced today to 72 months in prison for an identity theft scheme that caused at least $95,233.22 in losses to his victims. The prison term includes a two year mandatory term. Ragan stole personal information of hundreds of unsuspecting individuals. He obtained classified hospital records which contained patient and staff account and personal information, official DMV and credit card company’s holograms and employee badges of various companies. He created counterfeit credit cards and he also sold his victims’ credit card account numbers to anyone who wanted one and who would pay his fee. He invested in sophisticated equipment which enabled him to do this on a large scale. When Pennsylvania State Police searched Ragan’s home, they found account numbers written on pieces of paper, on magnetic strips, pressed on credit cards, on ink rolls and in hospital records. Of those found, 107 victims reported losses.
Ragan pleaded guilty on October 4, 2013, to conspiracy to commit access device fraud and aggravated identity theft. In addition to the prison term, U.S. District Court Judge R. Barclay Surrick ordered restitution of $95,233.22 to Ragan’s victims, a $200 special assessment, and three years of supervised release.
The case was investigated by United States Secret Service and Pennsylvania State Police. It was prosecuted by Assistant United States Attorney Virgil Walker.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Admits to "Secret Shopper" and Craiglist ScamsRead the Press Release
PHILADELPHIA - Dave Brister, 57, of Philadelphia, pleaded guilty today to all counts stemming from a counterfeit check scheme that victimized dozens of people across the United States through a series of Internet-based sales scams. Brister pleaded guilty to 24 counts including conspiracy, five counts of mail fraud, 12 counts of wire fraud, two counts of presenting and transmitting counterfeit money orders, and four counts of passing and uttering counterfeit checks. U.S. District Court Judge Gene E.K. Pratter scheduled a sentencing hearing for June 17, 2014.
Brister teamed up with at least one person located outside of the United States to defraud Americans in a series of Internet-based schemes. He allegedly duped the recipients of counterfeit checks and money orders into depositing the items into their bank accounts and wiring money to him. In one scam, Brister and his co-conspirators posted advertisements on the website Craigslist.com for fake jobs, which included phony positions such as “secret shoppers” and “administrative assistants.” Whenever a person answered the advertisement and was “hired” for the fake job, Brister or a co-conspirator would send counterfeit money to the “new employee” along with a set of instructions on how to complete their new “employment” obligations. The instructions generally involved depositing the checks or money orders into their own bank accounts, keeping a portion as their “salary,” performing some simple task, and sending the rest of the money to Brister via Western Union or MoneyGram. Only after wiring the funds to Brister did the would-be employees learn that the checks and money orders they had deposited into their bank accounts were counterfeit.
In a different scheme, a co-conspirator of Brister’s would respond to advertisements on Craigslist.com for the sale of merchandise, agree to buy the advertised item, send counterfeit checks or money orders to the seller in excess of the sales price, and indicate that the difference was to be spent on a third-party delivery company. Brister’s co-conspirator would identify Brister as the representative of the third-party delivery company and ask the seller to deposit the check or money order into his account, keep enough to cover both the sales price and a little bonus, and then wire the rest to Brister. As with the fake job-offer scheme, the sellers followed the instructions and wired thousands of dollars to Brister, only to learn that the monetary instruments they had received were counterfeit, and their bank accounts had been debited.
In total, Brister received more than $98,000 in fraudulent proceeds from the various Internet-based schemes between January 2008 and August 2012. Brister and at least one co-conspirator also planned to send additional counterfeit checks and money orders to unsuspecting victims in the United States as part of their schemes.
Brister faces a possible advisory sentencing guidelines range of three to five years in prison, three years of supervised release, a fine of up to $6 million, and a $2,500 special assessment.
The case was investigated by U.S. Immigration and Customs Enforcement (ICE) Homeland Security Investigations and the United States Postal Inspection Service. It is being prosecuted by Assistant United States Attorney Mark B. Dubnoff.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Missouri Man Charged with Trying to Shutdown Phila.GovRead the Press Release
PHILADELPHIA - Michael Crockett, 29, of Kansas City, Missouri, was charged today by Information with attempting to intentionally damage a computer, announced United States Attorney Zane David Memeger.
The Information alleges that between September 24 and 26, 2012, Crocket knowingly caused the transmission of codes and commands to a computer hosting the City of Philadelphia’s website, www.phila.gov, in an attempt to shut down that website. This type of attack is known as and described as a distributed denial of service attack (DDOS). Crockett’s actions caused a loss to the city of more than $5,000.
If convicted the defendant faces a maximum possible sentence of 10 years in prison.
The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Albert S. Glenn.
Click here to view the indictment
An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Drexel Man Charged in Identity Theft RingRead the Press Release
Benjamin Easley, 36, of Drexel Hill, Pennsylvania was charged yesterday by Indictment with three counts of bank fraud and three counts of aggravated identity theft, announced United States Attorney Zane David Memeger.
The indictment alleges that Easley oversaw three separate bank fraud schemes in which he recruited people to pose as true account holders to access their accounts, drove them around to the banks, and gave them false identity documents to use to access the accounts. The indictment alleges that Easley and his co-schemers made off with approximately $232,570 from the banks in question.
Easley faces a maximum sentence of 96 years’ imprisonment, including a two year mandatory term of imprisonment, a five year period of supervised release, a $3,750,000 fine, and a $600 special assessment.
The case was investigated by the United States Secret Service and is being prosecuted by Assistant United States Attorney Michael S. Lowe.
Click here to view the indictment
An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guiltyUNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Maryland Man Charged with Stealing Bank Cards from Reading Mail Distributino CenterRead the Press Release
John Smith, 45, of Belcamp, Maryland, was charged today by Information with bank fraud and aggravated identity theft, announced United States Attorney Zane David Memeger.
According to the information, between January 2011 and January 2013, the defendant was employed at the Pitney-Bowes mail distribution center in Reading, Pennsylvania, and he stole hundreds of Bank of America bank cards and sold them to other persons, knowing that the stolen cards would be used to make fraudulent purchases.
If convicted the defendant faces a maximum possible sentence of 32 years in prison, five years of supervised release, a fine of $1.25 million, and a $200 special assessment.
The case was investigated by the U.S. Secret Service and is being prosecuted by Assistant United States Attorney Laurie Magid.
Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525